ROSCOE –– NYS Comptroller Thomas DiNapoli recently announced that 14 school districts were fiscally stressed according to his Fiscal Stress Monitoring System. One of those districts in the moderate category (45 points or greater) was Roscoe at 51.7.

DiNapoli’s Fiscal Stress Monitoring System, which has three categories, “susceptible,” “moderate” and “significant,” was designed to identify issues that school districts, counties, cities, towns and villages are having with budgetary solvency, or the ability to generate enough revenues to meet expenses. 

The Comptroller releases fiscal stress scores for the various categories of government three times a year. School districts are given a fiscal stress score based on several factors: year-end fund balance, operating deficits and surpluses, cash position, and reliance on short-term debt for cash-flow. The higher the score the more severe the level of stress.

Five of the fourteen districts were designated as being in moderate fiscal stress. Only one of these, East Ramapo Central School District in Rockland County, saw a decrease in its stress score since last year. The remaining four – Arkport Central School District (Steuben County) Harrisville Central School District (Lewis County), New Suffolk Common School District (Suffolk County), and Roscoe Central School District (Sullivan County) – had score increases.

According to John Evans, the shared superintendent of the Roscoe and Livingston Manor school districts, the biggest factor contributing to the change in designation is the status of the district’s fund balance. 

“At the time of the most recent district audit our fund balance was at .99 percent,” said Evans. “If your fund balance is less than one percent you are assigned 25 points. The district experienced a substantial increase in the number of students needing special education service and out of district placements. This unanticipated increase in costs required the use of fund balance to cover these costs.”

Evans added that another area where the district received significant points (20 points) involves their cash position. 

“Having to use a substantial amount of fund balance to offset the increase in special education costs reduced the amount of cash on hand at the end of the school year,” said Evans. “Cash on hand and fund balance are somewhat connected so these two factors resulted in 45 of the district’s 51.7 points. There were a few points here and there for other identified things but these were the two major issues.”  

Evans noted that the district is closely monitoring spending in all areas and have also implemented a spending freeze on all nonessential items and services.